FFAWN agreed to pay the loan back by December of last year. To date, the bank has received $368.33.

Blige blames the lawsuit on poor management of her charity foundation, allowing the wrong people to handle her finances.

"As Founder and CEO of FFAWN, I am ultimately responsible for anything that goes wrong," Blige told TMZ. "The problem is that I didn't have the right people in the right places doing the right things. This should have never been allowed to happen, but it did and now we are fixing it."

Blige is currently working with a a new team to eradicate the outstanding debts and get the FFAWN back on track.